Shares of Jaiprakash Associates surged today as the debt-laden firm today announced that it has signed two definitive agreements with Orient Cement (OCL), a part of CK Birla Group, for the sale of two of its cement units.

The company said that it has signed two definitive agreements, one for the sale 74% of the equity stake in its Bhilai Jaypee Cement (BJCL) unit and the other for the sale of its Nigrie cement grinding unit.

Shares of Jaiprakash Associates surged today as the debt-laden firm announced that it has finalised the sale of two of its cement units to CK Birla Group’s Orient Cement Limited. Continuing their rise from the past week, the company’s shares soared over 8% on the NSE today to Rs 12.75.

The company said that it has signed two definitive agreements, one for the sale 74% of the equity stake in its Bhilai Jaypee Cement (BJCL) unit and the other for the sale of its Nigrie cement grinding unit. The proposal for the sale of the BJCL unit was authorised by the Board of Directors of the Company on 6 October 2016 and will be based on an Enterprise Value (EV) of Rs. 1,450 crore on a cash free and debt free basis. The Nigrie cement grinding unit will be sold for a total consideration of Rs. 496 crore.

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The company’s stock has appreciated 31 percent in the last five trading sessions on the back of positive developments around its debt restructuring plan. A banks’ joint lenders forum (JLF) agreed on the strategic debt restructuring of JP Associates, CNBC-TV18 had reported earlier. The exchanges had also sought a clarification from the company on this report by the TV channel. Jaypee group reportedly has a consolidated debt of about Rs 55,000 crore.

Earlier last year, Aditya Birla group company Ultratech Cement agreed to buy JP Associates’ 17.2 million tonne cement unit for Rs 16,189 crore and a 4-million tonne grinding unit for additional Rs 470 crore, after a prolonged period of uncertainty.

The JP-Ultratech deal went through a long period of uncertainty due to tough negotiations between both the parties, with the Aditya Birla group company trying to drive the value of the deal down from the originally-agreed Rs 15,900 crore. Fearing that the deal would fall through, JP’s lenders led by ICICI Bank agreed to start strategic debt restructuring of the company’s outstanding loans.